Just bought this '78 318 block

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Here are some pictures, I'm curious what you guys think because I've never rebuilt an engine before.  It'll be some time before I get to this (still working on the 69 Charger body).

I was trying to decode the numbers, and here's what I got:

4006730-318-1

So the 4006730 shows it was cast in '76-'79, and obviously it's a 318.  I've read a lot of crazy things about what the -1 means, and am curious what you think.  For example, the owner said he had it since new, and rebuilt the motor himself a few times (and by the way, it's still un-bored), and he says the -1 means it was higher compression, something like 9.1:1, instead of the 8.6:1, or whatever.  He also said it came from the factory as a 4-barrel.

Other online hunts have said the -1 relates to the particular casting, that their were multiple forges or what not going at once, so they can track down the source of a mistake if they find it.

Somewhere else online said, instead, that lower numbers are better, and that racers never touch a block that is higher than -4 or -8.

I know that a '78 is a thin-wall casting.  The goal will not be to wring every last possible horsepower out of it, but to make a nice daily driver, while using low enough compression (9-9.5:1) for 87 octane, and under that condition, try to make whatever power I can with quality parts, like forged crank and pistons, Edelbrock heads, and probably a 600cfm carb, but maybe 650.  The goal will be in the 300's for hp.

Where I REALLY have a question is about the serial number, which I tried to take a picture of, but it's just too small.  Nonetheless, the stamping is clear as day:

9M 318 0808 0559

9=1979, but since it was cast on 6-7-78 (as you can see in the pics), I'm guessing it went in a '79 truck (he said it was a Dodge 150).

M=Mound assembly plant

0808 = ?  According to the 10,000-day Chrysler calendar in How To Rebuild Small-Block Mopar Engines, this would mean it was built before 1965, which started with #1069, and would also be before the LA 318 was ever built, so that's just obviously wrong.  1978 engines should be between #5816-6182, acccording to this.  Instead, would this mean the 808th day that this particular casting was used?  That's my best guess.

0559 = This was the 559th engine built at that plant on that day...or wait, does that mean instead that it was the 559th 318 built at that plant on that day.  Anybody know?

Please let me know if you see any problems, otherwise I'll (eventually) be off to a machine shop, well, once I find one around here.  Apparently there's no Mopar-specialist machine shops in central CT.

Anyways, just glad to have my block.  Cheers. 

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Pic 1

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Pic 2

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Pic 3

Is that mold on my door?  Ok, another day, but back to the block...

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Pic 4

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There was some surface rust on this, which must be the back of the block.  I scrubbed a little up with wire wool, and sprayed some WD-40 on it for now.

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Pic 6

6/7/78.  Nice, 6/7's our anniversary, so it's gotta be good, right? 

Hey by the way, what's that BN stamping and other clock on the left?

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Pic 11

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He said he sandblasted the block and rust-treated it.  I have no idea what he used, it's kind of gummy to the touch, but as long as it works.